Check Before You Invest : GTL Ltd

Snapshot

Q.1 Which industry/sub-sector does GTL Ltd belong to?

GTL Ltd belongs to the Telecom sector, operating specifically within the Telecommunication - Service Provider segment.

Q.2 Is GTL Ltd a good quality company?

GTL Ltd is a average quality company, based on a somewhat consistent 10-year financial track record.

Q.3 Is GTL Ltd undervalued or overvalued?

GTL Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Q.4 Is GTL Ltd a good buy now?

GTL Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of GTL Ltd?

GTL Ltd revenue growth is 25.7% for FY-2025, which is above its 5-year CAGR of 3.34%, indicating faster growth.

Q.2 Return on Asset of GTL Ltd?

GTL Ltd Return on Asset is -5.39%, which is below its 5-year historical median of 29.11%, indicating deteriorated asset utilization efficiency.

Q.3 Cash conversion cycle of GTL Ltd?

GTL Ltd Cash conversion cycle is -5 days, below its 5-year historical median of -5 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.

Q.4 Gross Profit margin of GTL Ltd?

GTL Ltd Gross profit margin which is the profit after deduction of direct costs, is 14.6% for FY-2025, which is in line with its 5-year median of 14.6%, indicating stable margins.

Q.5 Operating Profit Margin of GTL Ltd?

GTL Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 37.92% for FY-2025, which is above its 5-year median of 35.95% indicating increasing margins.

Q.6 Net Profit Margin of GTL Ltd?

GTL Ltd Net Profit Margin is -3.3% for FY-2025, is below with its 5-year median of 30.69%, indicating decreasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	14.6	14.6
Operating Profit Margin	37.92	35.95
Net Profit Margin	-3.3	30.69

Q.7 Debt to Equity ratio of GTL Ltd?

GTL Ltd Debt-to-Equity ratio is -0.68, which is above with the industry average of -0.74, indicating higher debt levels in the industry.

Q.8 Debt to cash flow from operations of GTL Ltd?

GTL Ltd Debt to cash flow from operations is 20.75, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of GTL Ltd?

Promoters hold 14.29% of the GTL Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of GTL Ltd vs industry peers?

GTL Ltd revenue CAGR is 3.34%, compared to the industry median CAGR of 1.18%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	25.7	1.2
Gross Profit Growth	-14	6.6
Operating Profit Growth	6.7	7.5
Net Profit Growth	-103.8	26.4

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	1.63	0.86
ROE	-	2.09
ROCE	-	9.4
Cash Conversion Cycle (days)	-4.59	-5

Valuation & price assessment

Q.1 Stock return of GTL Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of -4.5% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	-4.5%	2%	10.1%	-8.3%

Q.3 Valuation ratios of GTL Ltd vs historical?

The current P/E is lower that its historical median.

Q.4 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	-	1.27	19.31
Price to Book	-0.02	-0.02	0.68
Price to Sales	0.49	0.71	2.17
EV to EBITDA	136.14	49.97	12.27

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